Even few years ago, if you looked for refinancing of the mortgage, you almost for certain should pass through traditional bank - and test all documents, collecting, long waiting time and less, than star customer service, Often accompany him.
Today, however, it quickly consigns to the past. Actually, with direct creditors, such as Lenda, they say that now you can quickly and conveniently refinance the house - and to estimate low rates and collecting - completely online.
Thus, Lenda promises to help you to avoid a waste of time on visit of shop, to provide full transparency and exact tariffs and also to define priority of convenience of clients. And as this process reduces expenses, not to mention time, Lenda then transfers these savings to you.
Application for the credit of refinancing of Lenda works for four stages:
Receive the special quote. According to the company, "we ask the correct questions and we give exact charges for the front", and it means that you receive the correct quote based on your situation in seconds. Just enter the estimated cost of the house, the current sum of a mortgage loan and the approximate sum of the credit.
To submit the application - Lenda claims that you will be able to refinance completely on the Internet because of comfort of your house.
Check and document. Instead of addressing banks with papers and trips there and back in bank, you will be able to check credit points, to load documents and to get access to the online status of the online credit through the safe portal.
Close the credit - Lenda claims that he has to sign, estimate and close the credit 3 times faster, than on average in branch.
In total for this reason Lenda's refinancing is considered "self-service" and why the company claims that it "the easiest way of refinancing of your mortgage loan online".
Just because Lenda, nevertheless, means that they are suitable for you? Whether they offer competitive prices? Whether there are some important factors about which you have to know? We will begin to look at detailed details of Lenda.
What rates, rates and criteria of the acceptability of Lenda?
Now Lenda offers only four different products of refinancing at the following rates:
10 years are set: 2,5% of-2,875%
15 years are set: 2,625% of-3%
20 years are set: 3,375% of-3,75%
30 years are set: 3,25% of-3,625%
Note. These rates were based on the assumptions of the current mortgage balance in the amount of 300 000 US dollars with income in the amount of 500 000 US dollars, in the postal index 91501 and the credit score 700-719. The prices can also daily change depending on a row of the factors which are out of your monitoring.
How to receive the message of Lenda.
To receive an initial rate, you need to spend only a couple of minutes for information input, such as current balance on a mortgage, the evaluation cost of the house, the postal index and evaluation credit assessment. Then, having pressed the My Rates button, you will be able to select the interest rate from a sliding scale and at once to look how it influences conditions of your credit.
Note. To view rates, you need to create the accounting entry, having specified the e-mail address and having selected the password.
If you press the Show Loan & Fee Details button, you will also be able to see how many you will need to pay from a pocket, estimated costs of closing and monthly data of payment.
Than more information you will add Lenda to the quote, especially exact it will be that is visually provided by the color Quote Strength panel in the lower left part of the screen. To add more, press the Show Additional Parameters button below.
Are ready to move forward? The consultant for the credit of Lenda Home will communicate with you and will confirm that you are ready to disable the course which will remain good for 30 days.
What is raised by Lenda board?
Lenda does not charge the fee for attraction of the credit in the course of application and also any commission collections or commission brokers. However they usually raise:
Payment for closing / Escrow
Policy for the creditor's title
Payment for registration
Payment for assessment
Taxes and state taxes
Lenda can also raise other collecting depending on the circumstances connected with property.
Do you have the right for refinancing of the house of Lenda?
As well as most of creditors (is more detailed about it in a second), Lenda tells us about their rules the acceptability and criteria of underwriting only a little.
You can't acquire the right of repayment within 7 years or bankruptcy within 4 years, and you have to have a credit rating 640 or above. You also have to be located in CA, OR or WA (the company promises to release more states soon).
As for their products, Lenda can't grant the loans subtitles, loans with an adjustable interest rate or credit lines for equity or to grant the loans in houses, houses for mobile phones or for commercial purposes. However you can obtain the credit for the investment real estate.
How does it correspond to the competition?
Whether there are other alternative mortgage creditors similar to Lenda?
It is only a matter of time when the Internet and modern computing technologies influence all imaginable business spaces, and time for crediting has, it seems, come now. Not only for other mortgage creditors, such as Quicken Loans, Rocket Mortgage and SoFi; But also for the enterprises and also for the companies having the student's credits.
In particular, concerning a mortgage the key thing which should be remembered here consists that each of these companies only for online says that it offers many of the same advantages: easy access to exact, competitive tariffs; With low tariffs, fast permissions and exclusive customer service. Thus, these things in itself can distinguish not consciously Lenda from the competition.
Let's consider this thought in the following section when we finish everything.
Whether Lenda is firm option for refinancing of your mortgage?
Considering the competition which is closely connected with Lenda, the main advantages offered by this online creditor - time on the forward end; Namely, receiving exact rates. Thus, you don't need to provide the personal information to any company which sells her to high price, and you don't need to spend time for obtaining separate quotations from each creditor.
After you decide to continue work with Lenda, keep in mind that the most part of your savings of time will disappear. It is connected with the fact that the full application can take about 45 minutes, and you all the same will need 25 days (or more) for closing because of governmental decrees.
One more factor which should be considered is that the most part of the competition holds service of the clients by own forces to maintain high quality. However after your credit will be complete, Lenda won't serve your credit any more: "When we will tell your proceeds of credit to you who has to make payments and as to do them. We have estimated quality of each service personnel with which we work". Unfortunately, the company doesn't give additional information.
In the absence of the return feedback with the client on the Internet, despite 2,5 years in business, it is hard to say what you can really expect from Lenda. They, certainly, are the lawful company which is based in San Francisco which has raised millions of funds for financing, but whether there will be they is able to compete in more and more crowded market.
Have you submitted the application for refinancing through Lenda? Add to a conversation and write own response below!